In the News: Smart Companies Re-train not Retrench!

I couldn’t agree more. Whilst I understand that some companies simply can’t afford not to let go of some staff when things are REALLY tough, it seems short-sighted (in the extreme) for companies that are simply going through an inevitable market down-turn (ALL markets go up and down after all) to let go of staff that they are going to need to recruit again in a year or so’s time. Aside from anything else, the negative impact on workforce engagement simply isn’t worth the $ savings if it can be avoided. Sam

By: Julia Stirling – The Weekend Australian

Smart companies have learned from the 1990s recession and are not bankrupting their resources, according to Susan Heron, chief executive of the Australian Institute of Management (Victoria/Tasmania).

“They are keeping the right people on board so they are actually not mortgaging the future,” Heron says. ‘‘It’s a real point of difference between the 1990s and now.”

Retaining skilled employees is seen as the top priority in helping Australian businesses survive the downturn, according to a survey released by the institute.
The survey, Business Performance and Priorities in the Downturn, was conducted in December and January. Continue reading